Answer to Question #155404 in Microeconomics for bidisha pattnaik

Question

You have one scarce hour to spend between studying for an examination

or taking classes in a tutorial for Rs. 200 per hour. You choose to study for

examination. What is the opportunity cost of studying?

Answer 1

Since the time that would have spent on studying is one hour, then the opportunity cost is studying for an examination is Rs. 200